What Is Causing Cardano’s Price War? Analysts Say
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- Analysts have observed that ADA technology remains underutilized, and continuing to invest in such technology may not be prudent in 2024.
- Given the historical price trends, there exists a significant possibility of ADA’s value decreasing by approximately 10%.
The overall cryptocurrency market is currently facing challenges, with Cardano [ADA] showing bearish indicators due to concerns over its underutilized technology, according to a recent report from a crypto analyst.
Presently, major cryptocurrencies including Bitcoin [BTC], Ethereum (ETH), and Solana (SOL) are undergoing some price corrections after experiencing substantial rises in the previous days.
Why does Cardano face difficulties?
A crypto analyst shared an update on X (formerly Twitter), revealing that Cardano’s recent transactions per second (TPS) metric is only at 0.41.
The analyst pointed out the low TPS figures and emphasized that investing in unused ADA technology isn’t a wise choice for this year. The expert urged others to focus on actual facts and data.
This analysis raises questions about why Cardano’s ADA has struggled for an extended period and why it continues to have difficulty breaking through resistance levels. p >
h2 >Cardano Technical Analysis and Key Levels/h2 >
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On the other hand, it’s important noting that traders appear divided on this front with their positions:
Data indicates that currently 52% of leading traders are opting for short positions while just 48% are maintaining long positions.
At publication time, ADA was valued at approximately $0.352 following a minor decline of around 0.8% over the preceding day.
Trading volume also decreased by about 18%, reflecting reduced trading activity amidst ongoing selling pressure.
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